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Answer:
Simple rate of return = 6.25%
Explanation:
As per the data given in the question,
Net operating income = saving - depreciation on machine
Investment = cost price - scrap value
So, we can calculate the simple rate of return by using following formula:
Simple rate of return = Net operating income ÷ investment
By putting the value, we get
= ($138,000 - $89,200) ÷ ($802,800 - $22,200)
= 0.0625
= 6.25%
Answer:
Explanation:
The computation of expense amount is shown below:
= Expenses - adjusted prepaid expense + adjusted accrued expense
= $35,200 - $500 - $450
= $34,250
The adjusted prepaid expense is computed by
= Ending balance of prepaid expense - beginning balance of prepaid expense
= $1,800 - $1,300
= $500
And, the The adjusted accrued expense is computed by
= Ending balance of accrued expense - beginning balance of accrued expense
= $1,200 - $1,650
= -$450
Answer:
C. Sell a straddle
Explanation:
Considering the following calculation: Sell a straddle = sell a put + sell a call
and,
Premium income for selling a straddle = (P + C )100 = ($3 + $4)(100) = $700.
a short straddle involves simultaneously selling a put option and call option with the same underlying asset, same exercise price and expiration date
By Selling a 3 month put option with exercise price of $40 one will get $3 (inflow of $3)
Simulatenously By Selling a 3 month call option with exercise of $40 one wiil get $4(inflow of $4)
Thus the total premium income of selling a straddle is $7
The kettle falls five case illustrate a weakness of a
federal system in such a way that f<span>ederalism limits
political power and that it depends on compliance of state.</span>
<span>The federal system also aggravates the efficiency in awareness of Policies and its implementation.
The kettle falls five case was very surprising.</span>
